Tijuana, Mexico´s city with the largest aerospace and defense cluster. It concentrates more than 31 firms and 7,800+ highly skilled employees.
For over 40 years the global aerospace industry has leveraged Tijuana´s advanced manufacturing platform, that offers an experienced suppliers base, world-class engineering and technical talent, operational savings, and a dispute free business environment.
This document provides an overview of the aerospace and defense manufacturing industry in Tijuana, Mexico. It summarizes that Tijuana has become a major hub for aerospace manufacturing in Mexico, with over 30 companies producing aerospace parts and components. It has cultivated this industry for 40 years and offers advantages like lower costs compared to other locations, an educated workforce, and easy access to markets in the United States. The aerospace sector in Tijuana continues to grow rapidly and demonstrates that Tijuana is a competitive location for global aerospace manufacturing.
This Entrada Group (www.entradagroup.com) presentation explains why and how Mexico is becoming a key manufacturing destination for the world’s aerospace industry.
This document summarizes the state of the global aerospace and defense industry. It notes that the industry grew 4.3% in 2011 to $1.128 trillion and is forecast to reach $1.238 trillion by 2016. The defense sector contributes about 74% of revenues but is expected to slow due to budget cuts in the US and Europe. The civil aviation sector is expected to see continued growth, with over 35,000 new passenger and cargo aircraft needed over the next 20 years. Aerospace companies face challenges from cost pressures, procurement demands, and the need for innovation to gain competitive advantages.
The document provides an overview and analysis of PwC's 2015 Aerospace Manufacturing Attractiveness Rankings. The United States ranked first in the global rankings due to its large aerospace industry size, despite moderate rankings in costs and infrastructure. Florida ranked first among US states. The summary identifies several key issues facing the aerospace industry, such as talent recruitment and retention, innovation pressures, globalization opportunities and challenges, and infrastructure needs. It also provides examples of strategies companies are taking to address these issues.
The document discusses several aerospace clusters and their strengths. It notes that Montreal's aerospace technology cluster is one of the most vibrant in the world, employing over 35,000 people across 170 companies. It also discusses the strengths of the aerospace industries in the Greater Toronto Area and the United States, including Virginia's leadership in aerospace research, development, and production. Rising US defense spending is also highlighted as having a positive impact on aerospace companies.
ProMexico is the Mexican government agency responsible for promoting Mexico's participation in international trade and attracting foreign investment. It has 27 offices in 19 countries. NAFTA has significantly increased trade among its members, with US-Mexico trade now totaling $946 billion. Mexico has several advantages for foreign investment, including low labor costs, a young workforce, free trade agreements, and strategic industries like aerospace, automotive, electronics and renewable energy. ProMexico provides information to help companies select investment locations within Mexico.
This document discusses manufacturing opportunities for aerospace companies in Chihuahua, Mexico. It provides an overview of Chihuahua's aerospace cluster, which includes 4 original equipment manufacturers, over 30 certified suppliers, and universities that provide engineering training. The region has a skilled workforce and is strategically located near the U.S. border. The document outlines the capabilities and certifications of the supply chain in Chihuahua and notes opportunities for companies in maintenance, repair, and overhaul operations. It also describes how American Industries Group can help companies establish operations in Chihuahua through startup support services.
This report report from Brookings, with Rockefeller Foundation support, shows that building up a region’s advanced industries is one such possibility with enormous potential. These industries not only create good jobs within the industry, but also up and down their massive supply chains. These jobs provide higher wages and greater opportunity to low and middle-income workers adversely affected by the economic recession.
This document provides an overview of the aerospace and defense manufacturing industry in Tijuana, Mexico. It summarizes that Tijuana has become a major hub for aerospace manufacturing in Mexico, with over 30 companies producing aerospace parts and components. It has cultivated this industry for 40 years and offers advantages like lower costs compared to other locations, an educated workforce, and easy access to markets in the United States. The aerospace sector in Tijuana continues to grow rapidly and demonstrates that Tijuana is a competitive location for global aerospace manufacturing.
This Entrada Group (www.entradagroup.com) presentation explains why and how Mexico is becoming a key manufacturing destination for the world’s aerospace industry.
This document summarizes the state of the global aerospace and defense industry. It notes that the industry grew 4.3% in 2011 to $1.128 trillion and is forecast to reach $1.238 trillion by 2016. The defense sector contributes about 74% of revenues but is expected to slow due to budget cuts in the US and Europe. The civil aviation sector is expected to see continued growth, with over 35,000 new passenger and cargo aircraft needed over the next 20 years. Aerospace companies face challenges from cost pressures, procurement demands, and the need for innovation to gain competitive advantages.
The document provides an overview and analysis of PwC's 2015 Aerospace Manufacturing Attractiveness Rankings. The United States ranked first in the global rankings due to its large aerospace industry size, despite moderate rankings in costs and infrastructure. Florida ranked first among US states. The summary identifies several key issues facing the aerospace industry, such as talent recruitment and retention, innovation pressures, globalization opportunities and challenges, and infrastructure needs. It also provides examples of strategies companies are taking to address these issues.
The document discusses several aerospace clusters and their strengths. It notes that Montreal's aerospace technology cluster is one of the most vibrant in the world, employing over 35,000 people across 170 companies. It also discusses the strengths of the aerospace industries in the Greater Toronto Area and the United States, including Virginia's leadership in aerospace research, development, and production. Rising US defense spending is also highlighted as having a positive impact on aerospace companies.
ProMexico is the Mexican government agency responsible for promoting Mexico's participation in international trade and attracting foreign investment. It has 27 offices in 19 countries. NAFTA has significantly increased trade among its members, with US-Mexico trade now totaling $946 billion. Mexico has several advantages for foreign investment, including low labor costs, a young workforce, free trade agreements, and strategic industries like aerospace, automotive, electronics and renewable energy. ProMexico provides information to help companies select investment locations within Mexico.
This document discusses manufacturing opportunities for aerospace companies in Chihuahua, Mexico. It provides an overview of Chihuahua's aerospace cluster, which includes 4 original equipment manufacturers, over 30 certified suppliers, and universities that provide engineering training. The region has a skilled workforce and is strategically located near the U.S. border. The document outlines the capabilities and certifications of the supply chain in Chihuahua and notes opportunities for companies in maintenance, repair, and overhaul operations. It also describes how American Industries Group can help companies establish operations in Chihuahua through startup support services.
This report report from Brookings, with Rockefeller Foundation support, shows that building up a region’s advanced industries is one such possibility with enormous potential. These industries not only create good jobs within the industry, but also up and down their massive supply chains. These jobs provide higher wages and greater opportunity to low and middle-income workers adversely affected by the economic recession.
This document summarizes investment opportunities in Chihuahua, Mexico. It highlights Chihuahua's strategic location near the US border, access to the North American market, and skilled and low-cost workforce. Major industries in Chihuahua include automotive, aerospace, electronics, and medical devices. The document also outlines the state's business-friendly policies, economic clusters, educational institutions, and success stories of companies that have established operations in Chihuahua. It concludes by emphasizing the supply chain opportunities for companies to source components and materials locally in Mexico.
The City of San Diego's Economic Development Department offers services to European technology companies looking to enter the U.S. and Latin American markets by establishing an office in San Diego. Eligible companies must be European-based, networked, and have plans to employ at least 10 people within two years. Services include assistance establishing a business, market information, introductions to local networks and service providers. San Diego provides incentives as part of the bi-national Cali-Baja region with access to talent, research centers, capital, and industry clusters in life sciences, cleantech, and software.
Medical devices industry in Mexico will show you some of the most important medical devices companies already doing business in Mexico and the way to leverage on this country as a cost competitive strategy
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As onshoring becomes an increasingly favored choice for several North American manufacturers, the resurgence of ‘Made in America’ manufacturing looms on the horizon as manufacturers grow weary of the fragility of Just-in-Time delivers, the US-China trade war and dealing with overwhelmed West Coast ports. This shift to localized production, especially for critical industries such as healthcare and medical devices, will have long lasting effects on the commercial real estate industry – especially industrial real estate. However, this uptick in manufacturing will not only thrust demand for industrial real estate but will also profoundly impact the multifamily real estate market as well. The reality is that the rise of domestic manufacturing will lead to the creation of several new manufacturing jobs which would subsequently result in an increase in demand for multifamily real estate in select markets. This short article will examine three multifamily markets that are poised to outperform as a result of the onshoring of American manufacturing.
Would you like to learn how to find aerospace manufacturing opportunities for global OEMs and how to establish your own distribution, assembly or manufacturing operation at a very competitive cost in Mexico? Those are some of the things you will learn on this ebook. Get it at www.AerospaceInMexico.com
Mexico's Manufacturing Industry- A Comparative AnalysisNovaLink
Mexico's manufacturing sector has made significant strides, evolving into a key contributor to the global economy. Leveraging its strategic advantages, competitive labor costs, and proximity to major markets, the country has established a strong foothold in the industry. Despite ongoing challenges, Mexico's manufacturing sector remains poised for continued growth and success, driven by the country's dedication to investment, innovation, and diversification.
Why Investors Are Flocking to Mexico for ManufacturingNovaLink
The siren song of investing in Mexico is increasingly captivating manufacturers around the world. Mexico is now the leading source of goods imported to U.S. But why the sudden surge of interest in this vibrant Latin American nation?
With its close proximity to the massive United States consumer market, low labor costs, numerous free trade agreements, and attractive government incentives, Mexico offers compelling advantages that continue to draw investors in droves. Let's explore why investors flock to Mexico and what makes it a hotspot for manufacturing investment.
Saltillo, Coahuila's manufacturing base is one of Mexico's largest. In addition to being companies such as Navistar, Lennox International, Whirlpool, Polaris, Freightliner and Lay Z Boy, a large presence of the Big 3 automakers has earned Saltillo the nickname of "Little Detroit." In the City of Saltillo, The Offshore Group's Manufacturas Zapalinamé operates the La Angostura Industrial Park.
http://www.offshoregroup.com/category/mexico-outsourcing-presentations/
The IT outsourcing industry is helping Mexican economy to spur overall economic growth. Within the industry though, significant changes are taking place, necessitating clear understanding of emerging technology industries and markets in Mexico.
The document provides information about the EB-5 Immigrant Investor Program and investing in Seattle, Washington. The EB-5 program allows foreign investors who invest $500,000 in a regional center to obtain a green card. Seattle is highlighted as a top city for its educated workforce, major companies like Microsoft and Boeing, and industries such as technology, aerospace, and life sciences. The document also profiles an investment company offering EB-5 opportunities through development projects in Seattle's SODO district.
Mexico's aviation industry is growing rapidly, with increasing passenger and cargo traffic. The Mexican government is investing heavily in expanding airports and developing new airports. This infrastructure development and overall growth in aviation represents significant opportunities for U.S. firms to export aircraft, parts, equipment and provide services to Mexico's aviation sector.
Why Outsourcing Manufacturing to Mexico Makes SenseNovaLink
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The Global Economic Security Strategy (GESS) contained in these pages harnesses powerful areas of competitive advantage, including the innovation and resources of our private sector; strong partnerships with friends and allies, and the moral high ground of our American values and optimism. It provides an integrated plan to leverage, grow and amplify these strengths through three distinct pillars of action.
The first pillar of the Global Economic Security Strategy
is to turbocharge our economic competitiveness and innovation to ensure our economic security. If we cannot do both in tandem, we will no longer be the global leader that we are now. The pillar begins by describing how we will turbocharge economic competitiveness by continuing to invest in the American worker, increase access to capital, accelerate the nation’s digital transformation, rebuild our industrial base, and extend our lead in research and development.
The second pillar details how we must safeguard America’s assets, which have long been under attack from our strategic adversaries. This involves protecting our country’s technology, intellectual property, investment resources, open markets, and civil society institutions, and strengthening our supply chains to prevent being overly and adversely dependent on any one country. Finally, the pillar outlines the importance of focusing on critical innovation sectors so that we can win the race for leadership in areas vital to our national security.
The third pillar is to form a network of trusted partners comprised of like-minded countries, companies, and civil society institutions. This Economic Prosperity Network (EPN) is built on the idea that strong partnerships advance shared prosperity. Through economic diplomacy, the EPN will harness the innovation, resources and synergies of its members into an equitable and unifying geo-economic network that enables multiple areas of economic collaboration. These partnerships are grounded in a set of shared principles that form the basis of trust and prosperity: reciprocity, integrity, accountability, transparency, and respect for the rule of law, property, and sovereignty. By leading this freedom coalition, the United States and our partners will have strength in numbers to confront any nation that seeks to undermine our prosperity and basic freedoms.
The GESS recognizes that the world wants and needs America to lead, but that we cannot confront the challenges of our time alone. We must build a coalition of economic partners and private sector companies to secure the foundations of free and open societies at home and throughout the world.
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Mexico. The next frontier for collaborative and Software IT ServicesiTexico
The Smart Way to Outsource Software Development Teams. Download our Free Whitepaper and learn more on why nearshore outsourcing in Mexico makes complete sense.
The document promotes the Detroit region as an ideal location for a European defense manufacturer to expand to, highlighting strengths such as advanced manufacturing and engineering talent, a large skilled workforce, strategic location and logistics infrastructure, major airports and rail lines, research universities, incentives, and quality of life. The Detroit Regional Economic Partnership offers to facilitate the company's entry into the North American market and coordinate with government partners to provide an expedited and seamless launch process.
This document provides an overview of the aerospace industry in Mexico. It discusses the global aerospace market trends, the current state of Mexico's aerospace industry, and its goals for continued growth. Mexico's aerospace industry currently includes over 270 companies, 34,000 employees, and $5.4 billion in exports in 2012. The industry is focused on increasing investment, exports, local content, and the number of highly skilled workers through its National Strategic Program called Pro-Aéreo. Key aerospace clusters have formed in states like Querétaro, which established the AeroCluster of Querétaro organization to coordinate industry growth through research, innovation and workforce development.
The document discusses Mexico's automotive industry and opportunities for investment. It notes that Mexico has the 9th largest vehicle production in the world and its automotive sector accounts for 18% of manufacturing GDP and 10% of manufacturing jobs. The auto industry and its over 1,250 auto parts suppliers form an important platform for global manufacturing. Mexico has trade agreements improving access to over a billion consumers and offers programs and incentives to support the industry.
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This document summarizes investment opportunities in Chihuahua, Mexico. It highlights Chihuahua's strategic location near the US border, access to the North American market, and skilled and low-cost workforce. Major industries in Chihuahua include automotive, aerospace, electronics, and medical devices. The document also outlines the state's business-friendly policies, economic clusters, educational institutions, and success stories of companies that have established operations in Chihuahua. It concludes by emphasizing the supply chain opportunities for companies to source components and materials locally in Mexico.
The City of San Diego's Economic Development Department offers services to European technology companies looking to enter the U.S. and Latin American markets by establishing an office in San Diego. Eligible companies must be European-based, networked, and have plans to employ at least 10 people within two years. Services include assistance establishing a business, market information, introductions to local networks and service providers. San Diego provides incentives as part of the bi-national Cali-Baja region with access to talent, research centers, capital, and industry clusters in life sciences, cleantech, and software.
Medical devices industry in Mexico will show you some of the most important medical devices companies already doing business in Mexico and the way to leverage on this country as a cost competitive strategy
Three Multifamily Markets That Will Benefit from the Onshoring of American Ma...Shah Ahsan
As onshoring becomes an increasingly favored choice for several North American manufacturers, the resurgence of ‘Made in America’ manufacturing looms on the horizon as manufacturers grow weary of the fragility of Just-in-Time delivers, the US-China trade war and dealing with overwhelmed West Coast ports. This shift to localized production, especially for critical industries such as healthcare and medical devices, will have long lasting effects on the commercial real estate industry – especially industrial real estate. However, this uptick in manufacturing will not only thrust demand for industrial real estate but will also profoundly impact the multifamily real estate market as well. The reality is that the rise of domestic manufacturing will lead to the creation of several new manufacturing jobs which would subsequently result in an increase in demand for multifamily real estate in select markets. This short article will examine three multifamily markets that are poised to outperform as a result of the onshoring of American manufacturing.
Would you like to learn how to find aerospace manufacturing opportunities for global OEMs and how to establish your own distribution, assembly or manufacturing operation at a very competitive cost in Mexico? Those are some of the things you will learn on this ebook. Get it at www.AerospaceInMexico.com
Mexico's Manufacturing Industry- A Comparative AnalysisNovaLink
Mexico's manufacturing sector has made significant strides, evolving into a key contributor to the global economy. Leveraging its strategic advantages, competitive labor costs, and proximity to major markets, the country has established a strong foothold in the industry. Despite ongoing challenges, Mexico's manufacturing sector remains poised for continued growth and success, driven by the country's dedication to investment, innovation, and diversification.
Why Investors Are Flocking to Mexico for ManufacturingNovaLink
The siren song of investing in Mexico is increasingly captivating manufacturers around the world. Mexico is now the leading source of goods imported to U.S. But why the sudden surge of interest in this vibrant Latin American nation?
With its close proximity to the massive United States consumer market, low labor costs, numerous free trade agreements, and attractive government incentives, Mexico offers compelling advantages that continue to draw investors in droves. Let's explore why investors flock to Mexico and what makes it a hotspot for manufacturing investment.
Saltillo, Coahuila's manufacturing base is one of Mexico's largest. In addition to being companies such as Navistar, Lennox International, Whirlpool, Polaris, Freightliner and Lay Z Boy, a large presence of the Big 3 automakers has earned Saltillo the nickname of "Little Detroit." In the City of Saltillo, The Offshore Group's Manufacturas Zapalinamé operates the La Angostura Industrial Park.
http://www.offshoregroup.com/category/mexico-outsourcing-presentations/
The IT outsourcing industry is helping Mexican economy to spur overall economic growth. Within the industry though, significant changes are taking place, necessitating clear understanding of emerging technology industries and markets in Mexico.
The document provides information about the EB-5 Immigrant Investor Program and investing in Seattle, Washington. The EB-5 program allows foreign investors who invest $500,000 in a regional center to obtain a green card. Seattle is highlighted as a top city for its educated workforce, major companies like Microsoft and Boeing, and industries such as technology, aerospace, and life sciences. The document also profiles an investment company offering EB-5 opportunities through development projects in Seattle's SODO district.
Mexico's aviation industry is growing rapidly, with increasing passenger and cargo traffic. The Mexican government is investing heavily in expanding airports and developing new airports. This infrastructure development and overall growth in aviation represents significant opportunities for U.S. firms to export aircraft, parts, equipment and provide services to Mexico's aviation sector.
Why Outsourcing Manufacturing to Mexico Makes SenseNovaLink
Modern businesses are constantly seeking ways to optimize their operations and gain a competitive edge. Mexico is one of the countries that have gained considerable traction in recent years when it comes to outsourcing manufacturing. As a result of its strategic location, skilled labor force, cost advantages, and favorable trade agreements, Mexico offers numerous advantages to companies looking to streamline their production processes.
The Global Economic Security Strategy (GESS) Public VersionKeith Krach
The Global Economic Security Strategy (GESS) contained in these pages harnesses powerful areas of competitive advantage, including the innovation and resources of our private sector; strong partnerships with friends and allies, and the moral high ground of our American values and optimism. It provides an integrated plan to leverage, grow and amplify these strengths through three distinct pillars of action.
The first pillar of the Global Economic Security Strategy
is to turbocharge our economic competitiveness and innovation to ensure our economic security. If we cannot do both in tandem, we will no longer be the global leader that we are now. The pillar begins by describing how we will turbocharge economic competitiveness by continuing to invest in the American worker, increase access to capital, accelerate the nation’s digital transformation, rebuild our industrial base, and extend our lead in research and development.
The second pillar details how we must safeguard America’s assets, which have long been under attack from our strategic adversaries. This involves protecting our country’s technology, intellectual property, investment resources, open markets, and civil society institutions, and strengthening our supply chains to prevent being overly and adversely dependent on any one country. Finally, the pillar outlines the importance of focusing on critical innovation sectors so that we can win the race for leadership in areas vital to our national security.
The third pillar is to form a network of trusted partners comprised of like-minded countries, companies, and civil society institutions. This Economic Prosperity Network (EPN) is built on the idea that strong partnerships advance shared prosperity. Through economic diplomacy, the EPN will harness the innovation, resources and synergies of its members into an equitable and unifying geo-economic network that enables multiple areas of economic collaboration. These partnerships are grounded in a set of shared principles that form the basis of trust and prosperity: reciprocity, integrity, accountability, transparency, and respect for the rule of law, property, and sovereignty. By leading this freedom coalition, the United States and our partners will have strength in numbers to confront any nation that seeks to undermine our prosperity and basic freedoms.
The GESS recognizes that the world wants and needs America to lead, but that we cannot confront the challenges of our time alone. We must build a coalition of economic partners and private sector companies to secure the foundations of free and open societies at home and throughout the world.
Nearshoring to Mexico: improving the North American supply chainCarlosPrez320
Explore 4 key factors that explain why nearshoring to Mexico is the best way to improve your production and logistics.
Contact a Frontier expert and get to know our industrial portfolio and several real estate solutions that can help you maximize your investment.
Mexico. The next frontier for collaborative and Software IT ServicesiTexico
The Smart Way to Outsource Software Development Teams. Download our Free Whitepaper and learn more on why nearshore outsourcing in Mexico makes complete sense.
The document promotes the Detroit region as an ideal location for a European defense manufacturer to expand to, highlighting strengths such as advanced manufacturing and engineering talent, a large skilled workforce, strategic location and logistics infrastructure, major airports and rail lines, research universities, incentives, and quality of life. The Detroit Regional Economic Partnership offers to facilitate the company's entry into the North American market and coordinate with government partners to provide an expedited and seamless launch process.
This document provides an overview of the aerospace industry in Mexico. It discusses the global aerospace market trends, the current state of Mexico's aerospace industry, and its goals for continued growth. Mexico's aerospace industry currently includes over 270 companies, 34,000 employees, and $5.4 billion in exports in 2012. The industry is focused on increasing investment, exports, local content, and the number of highly skilled workers through its National Strategic Program called Pro-Aéreo. Key aerospace clusters have formed in states like Querétaro, which established the AeroCluster of Querétaro organization to coordinate industry growth through research, innovation and workforce development.
The document discusses Mexico's automotive industry and opportunities for investment. It notes that Mexico has the 9th largest vehicle production in the world and its automotive sector accounts for 18% of manufacturing GDP and 10% of manufacturing jobs. The auto industry and its over 1,250 auto parts suppliers form an important platform for global manufacturing. Mexico has trade agreements improving access to over a billion consumers and offers programs and incentives to support the industry.
Similar to Tijuana, Mexico Aerospace Industry (20)
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Enhancing Adoption of AI in Agri-food: Introduction
Tijuana, Mexico Aerospace Industry
1. The Route to High Profits:
The Tijuana Aerospace and Defense Industry
June 2014
photo: Antonio Mercado
photo: North American
Production Sharing
2. www.Tijuanaedc.org || contact@tijuanaedc.org
Call toll free from the US: 1-855-558-5332 || ph (011-52) 664-681-8344
Tijuana: Mexico’s Aerospace Hub
Long considered one of the primary economic drivers of
the southwestern Unites States and, more recently, a
key growth industry in Europe, Brazil and Asia,
aerospace and defense manufacturing is emerging as an
important sector in Mexico’s economy as well. Within
Mexico’s aerospace sector, Tijuana is the leading
aerospace hub with the highest concentration A&D
manufacturing operations.
Baja California stands as Mexico´s top aerospace cluster,
with more than 60 aerospace companies operating
within the state. The city of Tijuana alone is home to
the largest concentration of operating aerospace firms
in the country (31)1
and has been developing a
specialized aerospace and defense manufacturing
ecosystem for the last 40 years.
Tijuana’s numbers are continuing to gain altitude.
Between 2006 and 2014, the city’s aerospace firms have
shown an average annual employment growth of 6% by
virtue of the city’s talented pool of young engineers,
advanced manufacturing platforms, and unparalleled
geographic location. Just minutes from downtown San
Diego, the second-largest city on the West Coast of
North America, Tijuana is also an easy-access, nearshore
location to the global aerospace and defense industry.
This document provides a quick, fact-based introduction
to help understand why Tijuana is not only the No. 1
city in Mexico for “maquiladora” (IMMEX)
manufacturing companies2
, but also a modern city on
the leading edge of aerospace and defense
manufacturing.
The Aerospace Talent of Tijuana-San Diego
The aerospace industry’s growth in Tijuana has created increased
demand for specialized talent and Tijuana’s universities have
throttled up to meet it with a growing number of aerospace
programs. Currently, four universities in the city offer aerospace
educational programs tailored to the industry´s requirements:
CETYS University is WASC certified and offers both a Bachelor’s
degree in mechanical engineering with a minor in aerospace design as well as a master’s degree program in
aerospace engineering; UABC State University of Baja California launched the Center for Aerospace and
Engineering Technology six years ago; and Universidad Tecnológica de Tijuana offers specialized programs
in mechatronic engineering and aerospace harness manufacturing3
. More than 12,200 students enrolled in
undergraduate engineering, technological careers and graduate studies in 2014.
In the technical labor field, Centro de Asistencia y Servicios Tecnológicos (CAST) opened the Aerospace
Precision Machining Center (CADTE) in 2013 to train technicians in all aspects of manufacturing precision
parts to meet strict quality standards.
“…The educational focus by
local universities in the
engineering field has greatly
helped the success of our
company...”
- Raul Perez
VP & General Manager
Zodiac Aerospace
3. www.Tijuanaedc.org || contact@tijuanaedc.org
Call toll free from the US: 1-855-558-5332 || ph (011-52) 664-681-8344
Mexico
Netherlands
Canada
France
Japan
Germany
Italy
UK
USA
Australia
86,7
95,7
96,5
98,0
98,4
99,2
99,3
99,8
100,0
100,4
KPMG Competitive
Alternatives 2014
Cost Index for Aerospace
Industry
Why Mexico and Why Tijuana? The Experts Agree.
Competing in a global environment isn’t just a goal, it’s a
requirement for today’s aerospace companies who face increasing
competition and increasing costs around the world. The
globalization of the aerospace industry is, in fact, the reason the
U.S. FAA finalized a Bilateral Aviation Safety Agreement (BASA)
with Mexico in 2007 to grant nearshore manufacturing of aerospace
components while complying with strict quality and safety
standards.4
As more options come into play for offshore and nearshore
manufacturing, it is useful to note that Mexico was ranked No. 1 as
the lowest-cost, and 3rd
highest after-tax-profit country among
ten countries analyzed by KPMG in their 2014 Competitive
Alternatives study5
.The findings, as can be seen in the graph to the
right, show Mexico was determined to provide aerospace
manufacturers with an 18.7% cost advantage compared to the
U.S. as well as significant cost advantages compared to other global
locations. KPMG’s tax report found that Mexico-based operations
result in nearly half the total tax costs (corporate income taxes,
property, capital, and sales taxes as well as statutory
labor costs) compared to the U.S.6
The facts: while many regions market themselves as
possible locations for globally expanding companies, no
other international city offers the unique combination of:
40 years of experience in Aerospace and Defense
manufacturing.
A large base of 31 existing aerospace companies
within Tijuana itself and even more in the state
of Baja California.
A “next-door,” nearshore location with quick
logistical access to the West Coast of the U.S.
Savings: “Mexico is less expensive than China”
according to the New Boston Consulting Group
2014 Cost-Competitiveness Index7
.
An experienced, quality-conscious and highly
bilingual workforce in a low-union, business-
friendly environment.
Using sample data derived from
industry representatives and the
Tijuana EDC, significant savings can
be gained for both smaller and
larger aerospace and defense
manufacturing operations in
Tijuana.6
“Cubic considers Tijuana as, not only a strategic place to manufacture, but also a sage and
innovative environment for our executives and operations.”
- Reiny Giesecke
Director of Business Development
Cubic Defense Applications
4. www.Tijuanaedc.org || contact@tijuanaedc.org
Call toll free from the US: 1-855-558-5332 || ph (011-52) 664-681-8344
Access to Customers & Suppliers
Just-in-time production isn’t
just a concept for Tijuana’s
aerospace companies. It is a
real cost-saving logistical
benefit that allows many of
the city’s manufacturers to not
only reduce or avoid
inventories, but also to ship
finished product into the U.S.
market in as little as a few
hours.
Export: Tijuana is
geographically located just 15
minutes from downtown San
Diego, California. Companies
operating in Tijuana are easily
accessible for better
management, communications
and control. They also have
direct access to a robust
transportation infrastructure so
finished aerospace products
can be trucked and delivered
to anywhere in the U.S. within one to five days or shipped within hours from San Diego, Long Beach and
Ensenada seaports. Time-sensitive products can fly to customers from SAN, LAX, TIJ and other cargo airports
in a matter of hours.
Import: Great access isn’t just about outbound shipping. It’s also about inbound components and materials.
Tijuana’s existing aerospace companies already take advantage of a well-developed network of suppliers –
importing nearly $1.5 billion (U.S. dollars) in products and materials each year. And, as seen in the map
above, major suppliers of aerospace OEMs are located within 150 miles of Tijuana in Southern California
and less than 300 miles away in Arizona.
Tijuana’s Aerospace
Firms
In addition to aerospace
companies that are
operating under AS9100 or
NADCAP certifications, more
than 90% of all
manufacturing firms in
Tijuana with 250+
employees are certified
under ISO 13485, ISO 9000 or
other quality standards. At
right are just a few of the
world-class aerospace
companies in Tijuana.
5. www.Tijuanaedc.org || contact@tijuanaedc.org
Call toll free from the US: 1-855-558-5332 || ph (011-52) 664-681-8344
Workers at C&D Zodiac in Tijuana assemble window panels for
aircrafts July 20. / Photo by Peggy Peattie * U-T
Defense Manufacturing Achievements
Approximately 45% of the aerospace firms in Tijuana are currently manufacturing for defense-related
applications. The city’s experienced manufacturing environment centers around avoiding pitfalls in terms of
technological transfer, intellectual property and
quality assurance.
U.S. defense firms operating in Mexico are
allowed, by U.S. and Mexican regulations, to
manufacture products requiring ITAR
registration. To guarantee acceptance in this
category, firms have developed documented
systems for required tracking and control of ITAR
items and data. Certainly, some import/export
restrictions may apply (e.g. end-use limitations
and product classification) however, it is
perfectly feasible to have a defense-
manufacturing operation in Mexico abide by U.S.
Department of Defense regulations.
In January 2012, Mexico became the 41st
country to enter the Wassenaar Arrangement on export controls
for conventional arms and dual-use goods and technologies, giving defense and aerospace manufacturing
companies established in Tijuana a more efficient regulatory framework for export controls and
documentation.
Taking Off: The Tijuana Aerospace Cluster
The World Bank ranks Mexico as the world's 13th largest
economy in nominal terms and No. 11 in purchasing power.
“Hecho en Mexico”—Made in Mexico—is a quality guarantee,
including in aerospace.”8
Clearly, the largest aerospace cluster in Mexico in terms of
the number of firms, Tijuana is a major addition to North
America’s aerospace and defense manufacturing centers. Its
location next to one of the largest aerospace industry
concentrations in Southern California and Arizona translates
to increased profit margins, high levels of manufacturing
security, and world-class quality.
The Cali Baja Binational Mega-Region --comprised of the state of Baja California, San Diego County and
Imperial County in California-- is home to more than 400 aerospace and defense companies, representing
33,000 high-value jobs within the sector. A binational infrastructure, bicultural engineering talent, and
innovation capabilities on both sides of the border anchor this growing industry in the region.
As Mexico’s aerospace industry grows in the coming decade, companies thriving in Tijuana and the Cali-Baja
Mega Region will continue to provide the lift to higher sustainable profits.
For more information about this analysis, or about the city of Tijuana, please contact the Tijuana Economic Development
Corporation at 1-855-55-TJEDC.
“Tijuana and Baja California are
well-positioned to become a center
of excellence for component
manufacturing in the aerospace
industry given the number of
companies established in the
region, its geographical location,
and the initiatives academia,
government and private industry
are promoting...”
- Alberto García Hentzen
Director Fuel & Motion Control Division
Supply Chain Management
EATON Aerospace Group
7. References:
1
Tijuana aerospace firms verified by Baja California Aerospace Cluster. May 2014 based on ProMexico Aerospace
Roadmap 2013
2
INEGI firm data for Industria manufacturera, maquiladora y de servicios de exportación (IMMEX) industry, accessed
June 2014 [http://www.inegi.org.mx/sistemas/bie]
3
Baja´s Engineering Talent Fosters Growth of the Aerospace Industry in Mexico, accessed June 2014
[http://www.prweb.com/releases/2013/3/prweb10553167.htm]
4
For more information about Mexico’s Bilateral Aviation Safety Agreement, please see the FAA’s website at
[http://www.faa.gov/aircraft/air_cert/international/bilateral_agreements/baa_basa_listing/]
5
“Competitive Alternatives: KPMG’s Guide to International Business Location – 2014 Edition”
[http://www.competitivealternatives.com/reports/2014_compalt_execsum_en.pdf]
6
“Special Report: Focus on Taxes. Competitive Alternatives: KPMG’s Guide to International Business Location – 2014
Edition”
[http://www.mmkconsulting.com/compalts/reports/2014_compalt_report_tax_en.pdf]
7
BCG Cost-Competitiveness Index Press Release. April 25, 2014
[http://www.bcg.com/media/PressReleaseDetails.aspx?id=tcm:12-159505]
8
Mexico’s Welcome Mat Attracts Aerospace Manufacturers, Michael Mecham, April 2013
[http://aviationweek.com/awin/mexico-s-welcome-mat-attracts-aerospace-manufacturers]
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